A method and capacitive touch panel are provided. The method includes receiving, by a sensing circuit, raw data for detecting a touch object in a proximity of a capacitive touch panel, where the raw data includes a difference of a mutual capacitance value and a self-capacitance value at each of touch nodes of the capacitive touch panel; processing, by a touch sensing controller, the received raw data to derive digitized capacitance data; classifying, by the touch sensing controller, the digitized capacitance data; and estimating, by the touch sensing controller, at least one of a location of the touch object on the capacitive touch panel and a distance of the touch object from the capacitive touch panel within the proximity using the classified capacitance data.